Nvidia, Hertz, at Holding: Trendtickers

00:00 Speaker A

It is now time for some of today's trend kickers. We watch Nvidia, Hertz and while holding. First up here, Nvidia with the CEO Jensen Huang, said the company will send chips to the Saudi Arabic KI company Humane. Humane, which focuses on data centers, AI infrastructure and the development of Arabic LLMs, belongs to the public investment fund of 925 billion US dollars and was presented on Monday. Here are the shares over 4 and a half percent, which are responsible for a large part of this elevator in their Nasdaq this morning. Lou Basenese is still here with me. Lou, how do you think about Nvidia? I know it wasn't on your purchase list for the Mag 7, but where do you see the shares?

00:43 Lou Basenese

Yes, so I'm a shareholder. But I got on late, so I didn't enjoy the whole run. I think it's really critical. If you want to play AI, you have to own this blue chip, do not intend to do a pun, chip maker because you are the majority of chips sales. I think chips are the oxygen of the digital economy. We have to understand that for us the annual turnover of $ 600 to $ 700 billion a year will recharge your batteries in chips. It's not just AI. I think everyone overlooks it. If the chip sector is much wider, much larger, there are tailwinds that will remain. Alone Nvidia, I still think that she is still about 21% of his all-time high 52-week-high. There is space to continue to generate good news and obviously good income because you report the cycle. So we will still get this look here for too long.

01:41 Speaker A

Right, exactly. That will be the key. Final yield pressure of these large technical names that you should see here. But let's take a look at Hertz, who reports a wider loss and lower sales in the first quarter. The rental company leads to lower income on a closer fleet and current macroeconomic conditions. However, managers say that turnaround work works. However, the shares over 18%. And Lou, we previously spoke about Bill Ackman and his continued love of inventory or perhaps malicious love. It is a relationship from which he cannot come out. So what do you think, think of this share?

02:22 Lou Basenese

Yes. It is a toxic spiral of death. I just don't understand what attracts him to a business. Automobiles, planes and food have terrible operating margins. If you have to invest tens of billions of dollars, why do you go to things that don't have a lot of margin to improve? I think Hertz is still fighting for the covid. They seem to be in this RUT relationship if you want to call it where you always cut off your fleet and then rebuild it, and everyone will be excited because, you know, you know a better economy after trimming. But see it is a business that I think we talked about that it is overpriced. The rental prices, if you travel a lot, are not the most competitive. And their operations are not very seamless or smooth. So I don't know what he is looking at, but he has a lot more money to lose and make in other places where he can afford to do it.

03:25 Speaker A

Yes, you don't want to bet on a company that has high -priced services if we are in a macroeconomic question mark. But let's take a look when we raise the prospects of the entire year for sales, which is due to a strong demand. The turnover of the Swiss shoemaker in the first quarter also exceeded expectations compared to the previous year by 40%. The stocks currently rose by almost 9%. And we previously talked to the CEO about this program, and the CEOs spoke that the company is really in a strong place when it comes to the headwind of tariffs. We know that shoes are one of the areas that were exposed to some of them from tariffs, but are clearly able to publish some in this quarter.

04:13 Lou Basenese

Yes. I mean, look, you have to welcome growth. I think you also benefit from the Halo effect. You can see on sneakers anywhere. I was in Paris and Amsterdam in the USA last month. You know it's there, but now you get this Halo effect of clothing. They start to expand to what has better margins. I think this is a growth stock that has more swing, and this report shows it. So,

04:41 Speaker A

Do you buy on these levels?

04:43 Lou Basenese

I don't know. I'm not really. Retailers are usually not on my list, but no, it is interesting. It is worth following me as a potential swing game. What is surprising is a good reading for Birkenstock on Thursday, right? I can't believe that birch sticks or crocs are still one thing, but everything closes. The merchant trend is definitely the focus.

05:20 Speaker A

One to see.